Breaking: RBNZ hikes OCR by 25bps to 0.50%, NZD/USD jumps

At its October monetary policy meeting, the Reserve Bank of New Zealand (RBNZ) board members decided to raise the Official Cash Rate (OCR) from a record low of 0.25% to 0.50%, as widely expected.

RBNZ announces its first rate lift-off since the pandemic began in March 2020.   

Markets had priced in an 80% probability of a rate hike this week, given August’s hawkish hold.